Means teddy bear in Swedish. The word refers to a cellphone because of the way some people cuddle and cradle the device next to their faces--like a little kid with a favorite stuffed animal.
Term originated in Sweden, but is taking on a life of its own in the English-speaking world.
Hang on--I'm getting a ring on the nalle.
See cellphone, mobile, celly, cell, wireless, teddy, sweden, swedish